Financial Planning With Unknown Plans for Federal Rate Increases

I suspect many of you have followed the Fed’s decision – or indecision – making process over the past few months. While many expected a rate increase, the economy and slowness of international growth kept the Fed from raising rates. While I’m not in the business of guessing what the Fed will do, it does appear a rate increase could come at some point during the next few quarters. With plans for a federal rate increase still unknown, there is a level of uncertainty in the market, and borrowing costs should be taken into account as you plan.

If borrowing for an expansion or working capital is in your future, I suggest discussing with your Bank SNB banker how you can hedge your interest rate risk in the future. We can help you evaluate options — such as floating or fixed rates, or interest rate swaps — and determine the best approach for your business. Our experienced bankers are a great resource anytime you are considering leverage in the future.

Along with cooler weather, football and holiday preparations, fall is a great time to plan your financial activities for the coming year. At Bank SNB, fall of 2015 has certainly not been a season of slowing down. After months of planning, we closed our purchase of First Commercial Bank of Edmond. The acquisition provides all Bank SNB customers with nine new banking centers to use — five in the Oklahoma City area, three in Denver and one in Colorado Springs. We welcome all of our new employees and customers to the Bank SNB family.

The acquisition also offers more resources, such as a broader product set and more bench strength in our commercial and residential mortgage teams. We also recently added five new mortgage bankers in Texas to assist customers with home financing. Bank SNB continues to grow and improve, which means we can offer our customers better products, more convenience and talented teams to personalize financial solutions to meet your goals.

We wish you a busy and profitable season with ample time to set yourself up for success in 2016. Bank successfully. Bank SNB.


On The Mark was written by Bank SNB President and CEO, Mark Funke.